Sunday, July 8, 2012

Making a more strategic analysis


I have probably spent a good four nights looking for substantial case studies for Web analytics tactics used effectively by companies, and I can tell you that there is a lot of garbage out there. There are many trite, unsubstantiated facts and fewer intensive examples that offer much more than shiny marketing.

But there still are those who don't mind providing in-depth information on their strategies to success. One that I found to go give a deeper than normal analysis is the case study on Amari Hotels and the company's experience with multi-channel funnels (Google Inc., 2011). The report could have contained much more information, I am sure, but the company probably does not want to give all of its secrets away.

Multi-channel funnels is a more sophisticated indicator than typical broad analytics categories such as pages/view or visitors/month, so this example gives us a chance to see the far-reaching power of Web analytics (Google Inc., 2011). This company is using Google Analytics, which as we know is free, thereby making this analysis available to any company interested in taking the time to understand and use analytics to gain market share and build customer engagement. In the end, this means the company can make more money.

Multi-channel funnels reporting is a newer way to show the channels that a customer used in the 30 days prior to making a purchase (Google Inc., 2011). Channels can include clicks on paid and organic searches, display ads, social networks and affiliates.

The company is made up of 13 hotels in Thailand and is a member of the Onyx Hospitality Group, which manages 40 existing or planned hotels in Asia (Google Inc., 2011). First the company's marketing team analyzed the data. They noticed in the Path Length report that 58 percent of visitors made their purchasing decisions in one visit. The assumption had previously been that most customers made their purchasing decisions over several visits, taking time to research deals.

The marketers made the decision to add more information on sales offers to landing pages to assist these customers in their decision making (Google Inc., 2011).

Here are before and after views of an Amari landing page:



Notice the sales listings that were added to the modified page. Within a month of these modifications, the company saw a 44 percent increase in booking rates (Google Inc., 2011).

Later when the marketers looked at the Path Length and Top Paths reports, they saw that 57 percent of transactions resulted from “multi-path” interactions (Google Inc., 2011). Most of the customers went to the site, left to think about the decision and came back to book a room in one of the company's hotels.

The marketers decided to increase the company's coverage on the Google Display Network to “better connect with these visitors after they had visited the site” (Google Inc., 2011). The company tested expanded campaigns for the Amari Palm Reef Samui hotel and saw an 11 percent increase in bookings in the next month.

Here is the link to Google Ads'Display Network. The ads can exist in a variety of online media and show up on websites that are “relevant to what you're selling.” To me, this means that as the customer is searching on other sites, they are being reminded of your company and its (hopefully) attractive offers through display ads.

The company did not ignore search engine optimization in its assessment (Google Inc., 2011). Marketers used the Assisted Conversions report to look at “the relationship between generic and non-brand keywords.” The use of generic keywords led to increased bookings, increased the average value of bookings and lowered the cost per conversion. This report can be found under the Multi-Channel Funnels tab in Google Analytics.

Though the bulk of this effort was analysis and hard work, there was some non-scientific human feeling involved, too (Google Inc., 2011).

Here is what the Onyx Hospitality Group Vice President of E-commerce Chetan Patel said of the decision to take this new direction in marketing:

Understanding cross-channel influences was a matter of hunch. Due to how much we invest in digital marketing across all our brands, the lack of tracked insights made me uncomfortable. Multi-Channel Funnels now gives us visibility into how customers reach our site and convert—from all our channels. It allows us to do attribution analysis on our online marketing activities, looking at them as combinations of channels and steps of varying success, rather than last-clicked channels in isolation. (Google Inc., 2011)

The idea of going beyond “last-clicked channels in isolation” is a powerful one. Sometimes we as marketers think we are taking everything on the whole while still understanding the parts that make up this whole. Often this is not the case.

I was not familiar with the reports that Amari Hotels used in this instance and am interested in using them at my company. According to Google, Multi-Channel Funnels can be extended from any defined goal or e-commerce transaction (Google Analytics, 2012). Most of this information is gathered automatically. Unpaid search from all search engines, referrals from websites and social media sites and direct visits are already detected with Google Analytics. You would have to set up tracking for Google AdWords, non-Google paid search engines and custom campaigns to access data from these sources in the report.

The Path Length report can be found under the Conversions tab and the Multi-Channel Funnels tab. I could not find an explicitly named Top Path report anymore, but if you look in the Path Length report, you will see which path generates the highest percentage of conversions.

Here is that report for my blog:



This next portion of the analysis is a little hypothetical since I am not sure what are some of the other steps the company may be taking. But let us say for the moment that the company is not taking many other in-depth steps analytics to increase sales and maintain a high return on investment.

Here are a few suggestions for the company:

  • Amari Hotels is looking inward, but they can significantly strengthen their analytics power by comparing their customer engagement with that of other companies in their industries (Kaushik, 2009). This Google Analytics function has changed somewhat since Kaushik wrote about it. Benchmarking used to be a part of the reports, but now if you opted in to anonymous data sharing with the company, you will see certain industry stats in a monthly newsletter (Osam, 2011).
  • Kaushik also recommends site search, which you can now find in a tab under the Content section in Google Analytics (Kaushik, 2009). He calls the data in this report possibly the only place “in your entire web analytics data where there is no question about visitor intent.”
  • Also, don't forget to look at the bounce rates for your top landing pages. That will give you important indicators about areas of your site that need work (Kaushik, 2009).
  • One thing the Amari case study did not mention was ecommerce tracking, though it is possible the company is using it. After setting up this function in Google Analytics, you can look in-depth at metrics such as Time to Purchase and Sales Performance.
  • I went to Amari's Facebook page, which has existed since 2009. And while they have lots of pretty pictures and videos of Thailand and the company's hotels, and have a little customer engagement, I think they could do better by publishing more sales-related posts. I think if I were going to Thailand, I would want to like the page so I could find out about deals, not really see beautiful scenes that I already know are there. It is great to have content, but I think they have strayed a bit on their social marketing efforts. Just as they had success with highlighting hotel sales on the main website, I believe they could have similar success on social media outlets.

References

Google Analytics. (2012). Setting up multi-channel funnels. Retrieved from: http://support.google.com/analytics/bin/answer.py?hl=en&answer=1191182

Google Inc. (2011). Case study: Multi-channel funnels. Retrieved from: http://www.google.com/analytics/customers/pdfs/amari-multi-channelfunnels.pdf

Kaushik, A. (2009). Google Analytics maximized: Deeper analysis, higher ROI & you. Retrieved from:

Osam, M. (July 7, 2011). Google Analytics benchmarking is back. Retrieved from: http://www.famousbloggers.net/google-analytics-benchmarking.html

No comments:

Post a Comment